The number of fraudulent claims made as a result of staged accidents is driving up car insurance premiums, research shows.

According to data from the Insurance Fraud Bureau (IFB), obtained by Fleet News, car fleet drivers in the north and the midlands are particularly at risk as fraudsters target new cars as they are likely to have insurance.

The IFB claims that the cost of these claims, estimated to be £500,000 a day, is being passed on to consumers in the form of higher premiums.

James Heath, director of counter fraud strategy at Keoghs solicitors, told the website that more suspicious claims are being made with the aim of defrauding insurance companies.

"These crash-for-cash accidents are being systematically staged by organised fraud rings throughout the country. And these fraudsters are running multiple claims each day – they put in volume claims so they can drop some if they are detected," he said.

While most activity was shown to occur in the north, the figures show that the number of incidents in the south is on the increase.

The IFB, along with West Yorkshire police, charged three people last month as part of an investigation into a crash-for-cash scam.

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